Open AccessWhat’s Wrong with Palm Oil, Why is it Accused of Damaging the Environment?
Author(s) -
Almasdi Syahza,
Mitri Irianti,
Suwondo,
Besri Nasrul
Publication year - 2020
Publication title -
journal of physics. conference series
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.21
H-Index - 85
eISSN - 1742-6596
pISSN - 1742-6588
DOI - 10.1088/1742-6596/1655/1/012134
Subject(s) - palm oil , business , agriculture , palm , agricultural economics , production (economics) , commodity , oil mill , poverty , agroforestry , agricultural science , environmental science , geography , economics , economic growth , physics , quantum mechanics , archaeology , finance , macroeconomics
The purpose of this paper is to analyze the strategies for empowering rural economies based on oil palm in an effort to control the potential environmental impacts in the development of oil palm plantations. The research location in Riau Province area. The commodity of palm oil is the most popular especially in the Riau region. The area of oil palm plantations in 2001 was 1,119,798 ha, increasing to 2,503,566 ha in 2017 with an average growth of 5.16% per year. Other plantations such as rubber and coconut actually experienced a decline. The expansion of the plantation area is followed by an increase in the production of crude palm oil. The CPO production capability in the Riau region is supported by 261 units of palm oil mill (POM) with a capacity of processing 12,470 tons per hour. Oil palm plantation activities contribute to the regional and national economy. Oil palm farming has proven to be able to improve the welfare of the community and reduce poverty. The government has issued a policy, the development of oil palm plantations must be in line with the goals of sustainable development (SDGs).